PayPal Financial Results
eBay, PayPal's parent, reported fourth quarter 2006 financial results today. PayPal's revenue for the quarter grew to $417 million, up 37% year over year and its number of user accounts grew to a total of 133 million, up 38 percent.
Total purchase volume grew 36% to $11 billion - with the off-eBay portion of purchase volume growing 57% to $3.9 billion. For the full year 2006, PayPal handled almost $38 billion in purchase volume. In terms of the PayPal revenue derived per dollar of payment volume, PayPal's transaction revenue rate was essentially flat vs. the prior year at 3.66%. In the fourth quarter, off-eBay volume represented more than 35 percent of total purchase volume. PayPal reported a 24 percent increase in transaction loss rate to 0.41% as compared to 0.33% for the same quarter in 2005. PayPal's transaction processing expense rate (which, among other factors, reflects the funding mix between cards, DDA accounts and funds held in PayPal accounts) edged up to 1.08% after hitting a low of 1.02% in the second quarter.
Good
Posted by: Glenn | January 28, 2007 at 02:00 AM